Tonight:
4°c
Catlin, the biggest underwriter on the Lloyd's of London insurance market, cranked up its interim dividend by 9% as investment gains helped it to its largest ever pre-tax profit for the six months to the end of June.
The Bermuda-based insurer posted a 40% rise in profit, which hit $240 million (£143 million) after returns more than tripled to $195 million from $53.9 million a year ago.
Catlin is also reaping the success of expanding the business in the US.
Chief executive Stephen Catlin said: “We were assisted by a significant improvement in investment return during the period, which compensated for a higher than usual frequency of large single-risk losses.”
The firm raised $290 million in a rights issue earlier this year, aiming to increase the amount of capital against which it can offer insurance policies, after premiums rose in the energy and catastrophe markets.
It's set for another boost as claims from the current hurricane season in the Caribbean are likely to be lower than usual. Meteorologists said the season will generate four hurricanes, down from an average of six.
